The Group made no material acquisitions of subsidiaries in the year ended 31 December 2009.
In the year ended 31 December 2009 fair values shown principally include final adjustments to the fair value of assets acquired and liabilities assumed in the Anglo Ferrous Brazil SA acquisition, including the recognition of provisions in respect of certain power arrangements.
The carrying value and fair value of the net assets at the date of acquisition of a controlling interest and related net cash outflows are shown below:
|US$ million||Total carrying value||Total fair value||Total fair value|
|Net assets acquired|
|Other non-current assets||-||-||109|
|Add: Value attributable to reserves and resources acquired, net of deferred tax(1)||21||1,649|
|Fair value of net assets acquired||2||2,121|
|Goodwill arising on acquisitions||2||1,610|
|Total cost of acquisitions||4||3,731|
|Net cash acquired||-||255|
|Net cash paid(2)||4||3,476|
In the year ended 31 December 2008 the Group purchased 7,941,964 shares in Anglo Platinum Limited for total consideration of $1,108 million. The cash paid in the year ended 31 December 2008 was $1,113 million. At 31 December 2009 the Group's shareholding in Anglo Platinum Limited was 79.7% (2008: 79.6%). The increase in the Group's shareholding since 31 December 2008 is due to treasury shares purchased by Anglo Platinum Limited in the year.
On 5 August 2008 the Group acquired a 63.3% shareholding in Anglo Ferrous Brazil SA, which holds a 51% interest in the Minas Rio iron ore project (Minas Rio) and a 70% interest in Amapá at a price of R$28.147 ($18.056) per share. At that time the Group committed to extend the offer to the minority shareholders of Anglo Ferrous Brazil SA. This offer was formally made on 31 October 2008 and remained open through the first quarter of 2009, resulting in a Group shareholding in Anglo Ferrous Brazil SA at 31 December 2009 of 100% (2008: 98.9%). Total cash paid to acquire a controlling interest was $3.5 billion and a further $2.0 billion (including cash settlement of a related derivative instrument ($0.7 billion)) was paid to acquire minority interests. In the year ended 31 December 2009 $49 million was paid to acquire remaining minority interests. These transactions followed on from the acquisition in 2007 of a 49% interest in each of Minas Rio and LLX Minas Rio, which owns the port of Açu. As a result of these transactions the Group's effective shareholding in each of the operating entities at 31 December 2009 was 100% in Minas Rio, 49% in LLX Minas Rio and 70% in Amapá (2008: 99.4% in Minas Rio, 49% in LLX Minas Rio and 69.2% in Amapá).
The Group made no material acquisitions of joint ventures in the year ended 31 December 2009 (2008: one).
The fair value of the net assets acquired and related net cash outflow for the prior year are shown below:
|Net assets acquired|
|Value attributable to reserves and resources acquired||835|
|Other tangible assets||108|
|Fair value of net assets acquired and total cost of acquisitions||850|
|Net cash acquired||1|
|Net cash paid(2)||607|
On 29 February 2008 Metallurgical Coal completed the acquisition of a 70% interest in the Foxleigh joint venture in Queensland, Australia. The total cost of acquisition was $606 million. The Group has proportionately consolidated 70% of Foxleigh from 29 February 2008.